FXOpen PAMM account service is a great alternative for both beginners and professional traders to gain money. Here's everything you need to know about it.
PAMM (Percentage Allocation Management Module) account is an excellent solution for both beginners and expert traders. The former can use PAMM accounts to earn profit without engaging in the market themselves, while the latter can get additional income by sharing their strategies.
FXOpen is one of the top brokers that allow traders to benefit from PAMM accounts, either as a Master or a Follower.
Master is the term referred to professional traders who are willing to offer their strategies for other traders to copy. In return, they'll receive a fee and a share of the profit made from using the strategy.
Meanwhile, Follower is the term used to describe traders who follow and replicate a Master's trading strategy, allowing them to earn profit without opening any real trades on their own.
In FXOpen, the PAMM service is really worth trying for both Masters and Followers. To begin with, it allows Followers to make profits from various attractive offers created by some of the best-performed Masters on the platform. As for the Master, they can easily decide their own parameters, including the percentage of Performance Fee (up to 100%) as well as Master Commission (up to 100%) for conducting the trade.
If you want to know more about FXOpen PAMM, then you're in the right place. We've compiled everything you need to know about FXOpen PAMM service in this guide below so you would know why this service is worth it.
FXOpen PAMM Account Types
In FXOpen, there are three PAMM account types that you can choose from, namely PAMM ECN, PAMM Crypto, and PAMM STP.
As the name suggests, PAMM ECN and PAMM STP use the ECN and STP order systems respectively. Meanwhile, the PAMM Crypto account allows traders to trade top cryptocurrencies and take advantage of the highly liquid crypto market using PAMM technology.
Here's a comparison table for more insights.
| Features | ECN | Crypto | STP |
| 💲Account Currency | USD, AUD, CHF, EUR, GBP, JPY, RUB | mBTC, LTC, EUR, USD, RUB, CNH | USD, EUR, RUB |
| 💰Minimum Master's Capital | $1,000 | $200 to create the PAMM account, $1,000 to create offers | $200 |
| 🔢Spreads | Floating from 0.0 pips | Floating | Floating |
| 💸Commissions | From $1.5 half turn, depending on the equity and traded volume | 0.5% of the transaction volume half turn | No commission |
| ℹ️Quotes Format | 0.12345 | 0.12345 | 0.12345 |
| 📉Minimum Transaction Size | 0.01 lots | 0.01 lots | 0.01 lots |
| 📈Maximum Open Trades | Unlimited | Unlimited | Unlimited |
| ⚖Maximum Leverage | 1:100 | 1:3 | 1:100 |
| ☎️Margin Call | 100% | 30% | 50% |
| ⛔Stop Out | 50% | 15% | 30% |
| 🕋Islamic Account | Yes | No, swap is 10% per annum | Yes |
| Available Instruments | 50 currency pairs, gold, silver, CFDs, oil, natural gas | Currency pairs with BTC, LTC | 50 currency pairs, gold, silver |
| 🤖Expert Advisors | ✔️ | ✔️ | ✔️ |
| 📊Scalping and Hedging | ✔️ | ✔️ | ✔️ |
| 📰News Trading | ✔️ | ✔️ | ✔️ |
| ⏰Trading Time | Monday to Friday (FXOpen server time) | 24/7 | Monday to Friday (FXOpen server time) |
| 👛Inactivity Fees | Maintenance fee $10 per month, reactivation $50 | Maintenance fee $10 per month, reactivation $50 | Maintenance fee $10 per month, reactivation $50 |
You can use the information above to choose the right account depending on your needs and preferences.
How to Open a PAMM Account
Before you can open a PAMM account, you'll need to open an Investment account first. An investment account is a special account that acts as an intermediary account between the trader's Main account and the FXOpen PAMM service. The main function is for depositing funds and withdrawing profits.
Please note that Investment accounts are not trading accounts, so there's no password for them. Also, note that you can only open one investment account for each currency available on the Client Portal. So, if you want to join offers within the same PAMM account, you'll need to open two investment accounts in different currencies.
That aside, here are the steps that you should follow to open a PAMM account:
1. Visit FXOpen's website and open your Client Portal. Then, open the Investment tab and select "Add Account".
2. Agree to the terms and conditions of the PAMM service, then click "Next".
3. Choose the currency for your currency. It must match the currency of the PAMM account that you want to use.
4. If you were introduced to the broker, enter the agent's account number and click "Next" (optional).
5. Once it's done, you'll get your login credentials. Your Investment account will be displayed on the left side of the Client Portal under the Investment tab.
6. To make a deposit, click the Transfer tab and choose your preferred deposit method. Select your Investment account and complete the transfer.
7. To create a PAMM account, click the PAMM tab, then select "Accounts".
8. On the next page, click "Open PAMM Account".
9. Fill in the form of the new PAMM account. Note that you must be registered in the FXOpen forum to finish the process. Once you're done, click "Create".
10. Congratulations! You have created a PAMM account. If you are a Master, you can continue by creating a new offer. If you are a Follower, simply access the PAMM Account Rating and subscribe to an offer of your choice.
To help you further, FXOpen has provided this tutorial video for PAMM Followers:
The Benefits of FXOpen PAMM Service
FXOpen ensures that all parties in its PAMM service are mutually beneficial. Here are all the advantages that you can get, either as a Master or as a Follower.
For Masters
- Considerable income. As a PAMM Account Master, you will get two types of income, namely Master Commission and Performance Fee. The former refers to the remuneration for funds management. It is calculated daily as a percentage of the current Follower Balance and transferred to your Master account at each Rollover. Meanwhile, the Performance Fee is the percentage that you'll get from the Follower's profit. It is paid if the profit exceeds the Minimum Performance Constraint.
- Unlimited number of followers. You can create an offer and allow an unlimited number of followers to replicate your strategy.
- Make multiple offers with different parameters. Create multiple offers within a single profile, allowing you to get more Followers and higher income.
- Automatic profit and loss distribution. The system will automatically distribute the gains and losses based on the proportion of each participant, so everyone will get their parts of return. In addition, it also guarantees that the share of profit and fees are paid to you on time and according to the offer conditions that both parties agreed on, hence allowing you to just concentrate on trading.
- Illustrative and transparent performance monitoring system. You can attract more followers by performing well. The chart will display all of your past trading results accurately.
For Followers
- Fully control your assigned funds. You can add money to your account and withdraw at any time you want without the permission of the Master. Master has no access to your assigned funds, so they won't be able to trick you and run away with your money in any way.
- Propose offers to Master. Aside from browsing through existing offers, you can also propose a Follower Offer with your own parameters and send it to the Master. The Master has a limited time to accept or decline the offer.
- Automatic profit and fee distribution. All of the settlement operations (gains, losses, and fees) are handled by the FXOpen PAMM service, so you will receive your money according to the initial agreement.
- Public monitoring and performance charts. You can easily narrow down the options and choose the strategy that you'd like to copy based on risk tolerance and profitability. The information is displayed in a simple, user-friendly manner, so you can easily follow along regardless of your level of expertise.
- Switch from one offer to another within the same account. The migration procedure allows Followers to subscribe and switch to another offer very easily, allowing you to manage your trades more effectively.
- Shorter trading interval. Masters can now create offers with a short trading interval of only seven days, thus allowing Followers to deposit and withdraw their profits in just a week. After the week passes, the Master fee is calculated and all profits are automatically distributed.
PAMM Account Rating
To choose the right Master to subscribe, make sure to check the FXOpen PAMM Account Rating first. The tool basically lists all of PAMM accounts on the platform, sorted by trading results in descending order. You can choose to view either the Top Masters or Top Followers rather easily.
The "Top Master" category shows all Master accounts with the best active offers and past performance. Here is the list of information that you can get from the table:
- Account: The name of the Master PAMM account.
- Total Gain (%): The current gain of the account.
- Daily Gain (%): The Master's profit of the previous day.
- Days since opened: The number of days passed since the account opening.
- Maximum Drawdown: The difference between the maximum and minimum of the past total gain.
- ROR (Rate of Return): The ratio of money gained and lost based on the Master's historical performance.
- Gain Chart: The Master's current gain in graphical view.
Meanwhile, the "Top Follower" category shows the ranking of the most successful Follower accounts on the platform. Here is the list of information that you can get from the table:
- Account: The Follower's account numbers.
- Country: The Follower's country of residence.
- Join Date: The Date when the Follower first joined the offer.
- Gain: The Follower's gain amount on the current offer.
- Gain Chart: The Follower's current gain in graphical view.
Final Verdict
In conclusion, FXOpen PAMM account is a great service that's worth trying, both for beginners and professionals. It offers a number of features that can enhance your trading experience and make the whole process easier than ever. The best thing about it is that most operations are carried out automatically by the system. As a result, you can just focus on the trades and FXOpen will handle the rest.
If you're a beginner, you can benefit as a Follower from the user-friendly interface as well as the various PAMM offers on the platform. This service is undoubtedly a great alternative for those who have tight schedules or lack of trading experience. All you need to do is invest some money and let the Master do all the hard work for a small fee.
But if you're a professional, you can choose to become a Master to can gain considerable income from making offers and managing your Follower accounts. Decide your own conditions and earn the amount of commission that you deserve from an unlimited number of followers. So, if you are an expert and want to put your trading skills to good use, this service is definitely a must-try.
FXOpen is a forex brokerage that has been offering services since 2005. It is currently one of the most successful forex brokers in the world. Since the very start, FXOpen aims to make forex trading more professional, easy to access, and secure.
18 Comments
Jun 21 2023
Thank you for this article. I've been looking for a broker that offers PAMM accounts and FxOpen sounds good to me. Anyway, my point is that I'm interested to become a money manager in FxOpen. I wouldn't consider myself as an "expert" just yet, but I've made some positive results in the past few months, so I thought why not make additional income from it then. That being said, I want to know the full requirements of a Master in FxOpen. Is there any special criteria or test that I have to do beforehand? Also, once I become a Master, how can I make a new offer in FxOpen?
Jun 22 2023
According to the broker's website and this article, I believe any client can be a Master as long as they fulfill the minimum deposit. Once you created your PAMM account, you can immediately make your first offer.
The steps are actually very easy. I managed to do it on my first try. Just open your client portal, click the Master tab, and scroll down until you see the option for creating a new offer. Then, enter your desired parameters, like the performance fee, minimum top up amount, trading interval, etc. Finally, click Create. Make sure that your new offer appears on the page.
Jun 21 2023
Hey, so I have a few questions about how PAMM works. I've heard of the term before, but I'm still not sure about the system. If PAMM allows you to replicate other trader's strategy, what makes it different than copy trading and social trading? Also, I'm wondering if it's safe to entrust your money to other traders like that. Is there some sort of guarantee from the broker if the trade goes south? Assuming that most of the copiers are beginners like me, this system sounds pretty risky to me.
Jun 21 2023
Similar, yes, but they are actually different. First of all, in copy trading, you basically copy a strategy created by an expert and make profit from it. You can decide how much you wanna invest in it depending on the expert's performance. Social trading is similar to copy trading, except that it involves the interaction between traders. You can copy other traders while simultaneously chat with them and gain new knowledge.
Meanwhile PAMM is a managed account, so you basically allow the Master or the "money manager" to use your funds to trade on your behalf, using the strategy that you both agreed upon. All of the participant's funds are accumulated and copied to the manager's account to be executed on the market. Then, the trading result will be distributed to each party according to their proportion. This means, the more you invest, the higher your profit percentage would be. Hope this helps :)
Jun 22 2023
Nah, I don't think there's any guarantee from the broker (all brokers, not just fxopen). If the strategy fails, all participants will lose money accordingly. This is why it's crucial to choose the right Master to let them handle your trades. Fxppen is doing us a favor by presenting the rating system for the masters. It helps us see each master's quality and decide which one to follow. My advice is to not put too much money in a single master, no matter how much you trust him. Diversify and invest in several masters with good trading history.
Jul 26 2023
Dude, just want to ask about the trading account things at FXOpen PAMM. I mean, is it a prerequisite to open a trading account prior to opening an investment account, and could you please elaborate on the significance and purpose of an investment account concerning a PAMM (Percent Allocation Management Module) account? Additionally, is it important to note that investment accounts differ from trading accounts, and as such, they do not require passwords for access? Furthermore, it's worth mentioning that for each currency available on the Client Portal, you can only open one investment account. Consequently, if you wish to participate in offers within the same PAMM account, you will need to open two separate investment accounts, each in a different currency. Thank you!
Jul 27 2023
Hey dude, no worries, happy to break it down for you! So, at FXOpen PAMM, the deal is this - you gotta have an Investment account before you can dive into the PAMM action. This Investment account is like a middleman between your Main account and the PAMM service they offer. Its main job is to handle your deposits and let you withdraw your hard-earned profits.
Now, here's the kicker - these Investment accounts are not your regular trading accounts, so no need to stress about passwords. You won't be needing any! Pretty cool, right?
Just a heads up, though - you can only have one investment account for each currency available on the Client Portal. So, if you're itching to join different offers within the same PAMM account, you'll need to go with the flow and open two separate investment accounts, each in a different currency.
Hope that clears things up, dude! Happy trading and investing!
Jul 28 2023
Hey dude, I just wanted to take a moment to say a big thank you for the detailed explanation! Your insights on how the trading and investment accounts work at FXOpen PAMM have been incredibly helpful. I really appreciate you taking the time to break it all down for me in such a clear and understandable way.
Now that I have a much better understanding of the whole process, I feel more confident about getting started with PAMM and exploring the world of trading and investing. Your explanation about the significance of the investment account and its role as an intermediary between my Main account and the PAMM service has made everything much clearer for me.
And you know what? I'm really relieved to hear that investment accounts don't require passwords. That's one less thing to worry about, and it makes the whole process feel more hassle-free.
I'll definitely keep in mind your tip about having only one investment account for each currency available on the Client Portal. It's good to know that if I want to participate in different offers within the same PAMM account, I'll need to open separate investment accounts, each in a different currency. Thanks for pointing that out!
Jul 26 2023
Hey! I've got a question about the PAMM account ratings and choosing the best master to subscribe to. It's a bit overwhelming with all the details to consider, you know? So, what I really want to know is, when I'm checking out those Master PAMM accounts in the "Top Master" category, which data point is the most important to figure out their performance and risk? I mean, I want to make sure I pick the right one, and there's just so much to look at! Thanks for the help, I really appreciate it!
Jul 28 2023
Hey there! No worries, I got you covered! When you're eyeing those PAMM account ratings and trying to find the best master to follow, the most critical thing to check out is the "Total Gain (%)." That's the real deal right there! It shows you how much moolah that account has been making overall. And hey, don't forget to peep at the "Daily Gain (%)" to see how it's been doing day-to-day, and the "Days since opened" to know how long it's been in the game. Longer is usually better, right?
But wait, there's more! The "Maximum Drawdown" is a biggie too. It tells you about its risk management game by showing the difference between its highest and lowest past gains. You want that to be as low as possible, trust me!
Oh, and the "ROR (Rate of Return)" is another handy metric. It's like the money rollercoaster - tells you how much they gained and lost based on their history.
Lastly, don't forget to feast your eyes on that "Gain Chart" in graphical view. It's a sweet visual of their current gain over time.
So, with all these data points in mind, you'll be all set to make the smartest choice and find the perfect Master PAMM account that matches your style. You got this! Feel free to holler if you need more help. Happy trading!
Nov 21 2023
Hey, I'm curious about how PAMM works. I've heard it's a straightforward way to make some easy money – you deposit funds, choose a PAMM, and then reap the gains or profits. FX Open provides info on PAMM and the provider's reputation. I'm wondering, though, what's the deal with PAMM trades and how does it generate profit without me actively trading? I'm looking for a breakdown on how PAMM works since it sounds like a pretty effortless way to make money. Any insights you can share?
Nov 24 2023
Hey, do you mean where PAMM give you the profit, right? It is from PAMM Manager. So, The PAMM manager gains profits to share with investors by executing successful trades on behalf of the pooled funds in the PAMM account. Through strategic analysis of financial markets, the manager identifies opportunities that lead to profitable trades, with gains typically stemming from favorable price movements in traded assets. The manager earns a performance fee, usually a percentage of the profits, as a reward for successful trading. After deducting any applicable fees, the remaining profits are distributed among investors based on their proportional contributions to the PAMM account.
The automatic allocation system ensures that each investor receives a share of the profits aligned with their initial investment. While profit-sharing presents an opportunity for investors to benefit from successful trading, it also involves risks, emphasizing the importance of evaluating the PAMM manager's track record and strategy before making investment decisions. And one more, PAMM is different with copy trading. For more information, you can read in this article : PAMM Vs Copy Trading: What are the Differences?
Nov 28 2023
Hello! According to the information provided, an investment account serves as a unique intermediary account situated between a trader's Main account and the FXOpen PAMM service. Its primary role is to facilitate the depositing of funds and the withdrawal of profits. Additionally, the article underscores a key distinction between the investment account and a trading account. This prompts me to seek further clarification on the nature of investment and its differentiation from trading. Is investment an entirely separate concept from trading, and if so, does this imply that trading is not considered a form of investment at all? I'm eager to gain a deeper understanding of these distinctions and how they impact the overall approach to financial activities.
Dec 1 2023
It is different!! While trading and investment share some common elements, they represent distinct approaches to financial activities. Trading often involves more short-term actions, such as buying and selling financial instruments, with the goal of capitalizing on market fluctuations to generate profits. On the other hand, investment typically entails a longer-term commitment, where individuals allocate funds with the expectation of appreciation over time, often through the ownership of assets or securities. In essence, trading can be considered a subset of investment, but the two terms are not interchangeable. Trading focuses on the frequent and active management of positions, while investment tends to emphasize a more patient and strategic approach. So, while trading involves elements of investment, it is not accurate to say that all trading activities are equivalent to investment.
Dec 21 2023
It is mentioned that beginners can take advantage of the user-friendly interface and diverse PAMM offers on the platform by becoming Followers. This service is an excellent option for individuals with busy schedules or limited trading experience.
I would like to inquire about the financial commitment required for PAMM. Does it necessitate a substantial amount, or can one start with a modest investment similar to trading Forex? Concerning risk, it appears that PAMM entails lower risk compared to Forex trading. Could you provide more insights into this aspect?
Dec 25 2023
The amount of money required to participate in a PAMM account can vary. PAMM platforms often allow investors to start with a relatively small investment, making it accessible to a wide range of individuals. The minimum investment can depend on the specific PAMM provider or manager, so it's advisable to check the platform's terms and conditions.
About the risk, I agree that PAMM is often considered to have a potentially lower risk compared to individual Forex trading. In a PAMM account, your funds are managed by an experienced trader who makes investment decisions on your behalf. This can be beneficial for those with limited trading experience as it allows them to benefit from the skills of a professional. However, it's important to note that all trading involves some level of risk, and past performance is not necessarily indicative of future results. It's advisable to thoroughly research and choose a reputable PAMM manager.
Mar 24 2024
Hello! Even though the article suggests that PAMM services could be recommended for beginners like us, I'm feeling skeptical. The article mentions that if we want to participate in offers within the same PAMM account, we'd need to open two investment accounts in different currencies. This means that with FXOpen, for example, we'd need more money to join since we'd have to manage two accounts for trading and investing. Before delving further, I'd like to understand the downsides of PAMM services as well. Could you please explain them to me?
Mar 28 2024
Hey there! In my opinion, if you talk about the negative things in PAMM in general, I think there are several such as:
In short, while PAMM services offer access to professional trading expertise, investors should carefully consider potential drawbacks, including complex setup, lack of control, fees, and the risk of fraud.